Etihad Aviation and TUI in talks to create new airline group

Etihad Aviation and TUI are in discussions to create an European leisure airline group, focused on point-to-point flying that connects key tourist markets.

It is proposed to contribute the touristic operations of the airberlin group and the German TUIfly company, including the aircraft currently operated by TUIfly for airberlin under a wet-lease agreement, into a new airline group established by TUI AG and Etihad Aviation Group.

The new airline group would serve a broad network of destinations from Germany, Austria and Switzerland.

TUI AG, Etihad Aviation Group and Air Berlin PLC intend to finalise an in-principle agreement in due course, though it should be noted that any agreement will be subject to necessary corporate and regulatory approvals.

Etihad Aviation Group comprises four business divisions – Etihad Airways, Etihad Airways Engineering, the Hala Group, and the Airline Equity Partners. Etihad Aviation Group holds minority stakes in Air Berlin PLC, Air Serbia, Air Seychelles, Alitalia, Etihad Regional, Jet Airways and Virgin Australia.